City suing Applebaum to recover $159,719

Former mayor, ex-councillor Zajdel received payments before convictions

The city of Montreal is pursuing former mayor Michael Applebaum for $159,719 and former councillor Saulie Zajdel for $33,936 following their convictions on fraud and corruption charges.

The city has authorized its lawyers to undertake procedures to recover transition indemnities given to Applebaum in July 2013, and to Zajdel in February 2010.

In documents to that effect, the city cites the law on the treatment of municipal elected officials, which states that officials who have accumulated two years of service to city council and leave the council are entitled to a departure allowance and a transition allowance.

New legislative rules passed on Dec. 7, 2016, require former elected officials to reimburse any transition allowance received if they are found guilty of fraud or other crimes punishable by two years or more in prison.

Applebaum became a city councillor in 1994, Côte-des-Neiges-N.D.G. borough mayor in 2002 and was a member of mayor Gérald Tremblay’s executive committee from 2009 to 2012. He became mayor of Montreal in November 2012, after Tremblay resigned following revelations made at the Charbonneau Commission.

Applebaum was arrested for taking bribes on June 17, 2013, resigning the next day. On July 11, 2013, he was given $267,923.90 in departure and transition allowances.

In January, Applebaum was declared guilty of fraud toward the government, abuse of confidence, corruption and conspiracy to commit criminal acts, charges that carry a maximum prison term of five years. He was sentenced in March to concurrent 12-month prison terms. The city is demanding repayment of the $159,719 transition allowance Applebaum was given.

The same goes for Zajdel, who sat on the executive committee from 1994 to 2001 and retired from public service in November 2009. In February 2010, Zajdel was given $67,127 in departure and transition allowances.

He was arrested in June 2013 and pleaded guilty to fraud and other charges in May 2015. The city is seeking the $33,936 transition allowance he was given.

A representative of Mayor Denis Coderre said there will be no further comment on the issue as it is a legal matter.